...or the market warren must play in is overvalued.
this is more a warning that most large cap weighted indexes are overdone. c'mon gary, even your own holdings are far too small for warren to consider. there is room at the bottom.
It is certainly possible that there are plenty of opportunities in smaller stocks that Berkshire is too big to invest in. A) that's not what most people actually own B) I am having a hard time myself finding new opportunities even among smaller companies that meet my absolute value criteria and are of sufficiently high quality
Indeed, he advanced tax reasons for selling Apple but he could easily pay that tax by his cash position. Instead, he preferred taking some profits on Apple, which indicates that he finds the price stretched.
Besides taxes, he enlarged his cash position with the proceeds from Apple sale and he said that he is comfortable with a large cash position in current conditions.
That the market in general is overvalued seems to me to be an evidence that only those who don't want it don't see it.
However, I believe that there are many undervalued companies, especially in small caps and the European market. We are facing a schizophrenic market in which what is in fashion is rising every day. We know how this story will end, we just don't know when.
As for my idol Warren Buffett, I have some doubts that most of the latest movements in his portfolio are his own.
The monstrous value it has in cash could be due to several reasons and of course one of them will be the irrational market in which we live that feeds on social networks.
As value investors, we can only follow our path without paying attention to the noise. It seems easy but it's not. It takes a lot of perseverance and strong convictions.
It is never easy to see other assets rising almost daily and our portfolio remains stagnant.
The other tax reason would be to offset expiring tax credits, but I interpreted his comments the same way that you did. He made similar comments in 1999 and prior to 2008, and just recently when rates were near 0%. Yours is the first interpretation to say he thinks the market is overvalued and there are limited opportunities. Well done!
...or the market warren must play in is overvalued.
this is more a warning that most large cap weighted indexes are overdone. c'mon gary, even your own holdings are far too small for warren to consider. there is room at the bottom.
It is certainly possible that there are plenty of opportunities in smaller stocks that Berkshire is too big to invest in. A) that's not what most people actually own B) I am having a hard time myself finding new opportunities even among smaller companies that meet my absolute value criteria and are of sufficiently high quality
Indeed, he advanced tax reasons for selling Apple but he could easily pay that tax by his cash position. Instead, he preferred taking some profits on Apple, which indicates that he finds the price stretched.
Besides taxes, he enlarged his cash position with the proceeds from Apple sale and he said that he is comfortable with a large cash position in current conditions.
That the market in general is overvalued seems to me to be an evidence that only those who don't want it don't see it.
However, I believe that there are many undervalued companies, especially in small caps and the European market. We are facing a schizophrenic market in which what is in fashion is rising every day. We know how this story will end, we just don't know when.
As for my idol Warren Buffett, I have some doubts that most of the latest movements in his portfolio are his own.
The monstrous value it has in cash could be due to several reasons and of course one of them will be the irrational market in which we live that feeds on social networks.
As value investors, we can only follow our path without paying attention to the noise. It seems easy but it's not. It takes a lot of perseverance and strong convictions.
It is never easy to see other assets rising almost daily and our portfolio remains stagnant.
Stay strong and healthy/whealthy.
The other tax reason would be to offset expiring tax credits, but I interpreted his comments the same way that you did. He made similar comments in 1999 and prior to 2008, and just recently when rates were near 0%. Yours is the first interpretation to say he thinks the market is overvalued and there are limited opportunities. Well done!